Integrated Annual Report 2021

What’s Inside MISC INTEGRATED ANNUAL REPORT 2021 MOVING ENERGY TO BUILD A BETTER WORLD As a dynamic, progressive and innovative global brand with over 50 years of history, MISC is conscious of the role that we play towards building a better world for our future generations. Being part of the energy value chain, our solutions enable the movement of energy cargoes through our vessels and assets to power businesses and economies all over the world. As a responsible corporate citizen, we are energised to keep on striving to elevate our standards in all that we do, to promote innovation and to foster the development of a sustainable future. LEADERSHIP Our Board at a Glance 200 Profiles of the Board of Directors 202 Profiles of the Management Committee 214 GOVERNANCE Corporate Governance Overview Statement 228 Nomination & Remuneration Committee Report 249 Board Audit Committee Report 257 Board Governance & Risk Committee Report 266 Statement on Risk Management and Internal Control 271 Statement of Directors’ Responsibility 286 Additional Compliance Information 287 FINANCIAL STATEMENTS Directors’ Report 290 Statement by Directors 296 Statutory Declaration 296 Income Statements 297 Statements of Comprehensive Income 298 Statements of Financial Position 299 Consolidated Statements of Changes in Equity 302 Statements of Changes in Equity 304 Statements of Cash Flows 305 Notes to the Financial Statements 309 Independent Auditors’ Report 448 ADDITIONAL INFORMATION MISC Group Structure 458 Properties Owned by MISC Berhad and Its Subsidiaries 462 List of Vessels and Assets 464 Statistics on Shareholdings 471 Corporate Information 475 List of Abbreviations 476 ANNUAL GENERAL MEETING Notice of Annual General Meeting 482 Administrative Notes relating to the 53rd AGM 487 Form of Proxy About This Report 2 WHO WE ARE About MISC 8 Who We Are and What We Do 10 What We Own/Operate 12 How We Move Energy 14 Where We Operate 16 Key Milestones 18 KEY MESSAGES Chairman’s Message 24 President/Group CEO’s Review 28 HIGHLIGHTS Key Highlights 2021 38 A Look Back at 2021 40 STRATEGIC REVIEW Strategic Overview 44 How We Create Value 50 Our Strategic Focus 56 Our Material Matters 62 Our Stakeholders 66 Our Operating Environment 68 Our Risks and Mitigation Strategies 78 Delivering Our Strategy 86 SUSTAINABILITY Anchoring Sustainability @ MISC 96 FINANCIAL REVIEW Group Financial Review 108 Financial Calendar 113 Five-Year Group Financial Performance 114 Statement of Value Added and Value Distributed 116 BUSINESS REVIEW Gas Assets & Solutions 120 Petroleum & Product Shipping 126 Offshore Business 136 Marine & Heavy Engineering 142 Integrated Marine Services 152 Port Management & Maritime Services 160 Maritime Education & Training 166 People Development 174 Operating Safely and Sustainably 180 Operating Responsibly 190